Often seen as a toxic element in the corporate environment, gossip is being reevaluated from a new perspective. Experts from Hogan Assessments — a global leader in personality assessment at work and leadership consulting — have analyzed the topic in depth and identified three positive and relevant impacts that gossip can generate in organizations.
1 – A reliable channel of information in the workplace
During times of crisis or structural changes, the flow of internal information tends to decrease, leaving employees uninformed and insecure. In this scenario, gossip emerges as a spontaneous form of communication, filling gaps left by formal channels.
“When formal channels fail, gossip becomes a vital line for sharing information,” says Allison Howell, Vice President of Market Innovation at Hogan. “Instead of seeing it as inherently negative, organizations can recognize its role in reducing uncertainties and helping employees cope with transformations.”
In addition to keeping teams updated, this informal exchange can alleviate anxiety and stimulate adaptability in turbulent times.
2 – A strategic ally for attentive managers
For proactive leaders, paying attention to backstage conversations can be a strategic tool. Gossip acts as an early warning radar, signaling possible conflicts, tensions, or changes in organizational climate before they become critical.
“Gossip is not just idle talk; it reflects the workplace atmosphere,” Howell emphasizes. “Managers who stay alert to these signals can strengthen team bonds, reinforce company values, and promote a culture of trust and transparency.”
This type of active listening also contributes to strengthening emotional and social connections within teams, creating an informal support network. When well executed, the practice can even favor team self-regulation.
“It’s important for leaders to monitor the content of these conversations, avoid harmful distortions, and know when to intervene,” she adds.
3 – A diagnostic tool for effective leadership
Gossip can also function as a thermometer for deeper issues. When persistent, negative comments are indicative of unresolved conflicts or flaws in organizational culture that deserve attention.
“Instead of demonizing gossip, leaders should see it as a symptom of underlying challenges,” Howell states. “By investing in conflict resolution between teams and improving communication flows, the work environment becomes healthier and more cohesive.”
Attempting to suppress gossip through punishments, such as negative performance evaluations, is often ineffective and, in many cases, exacerbates the problem, intensifying an atmosphere of mistrust. On the other hand, encouraging open dialogue and addressing the root causes is a more productive approach.
“Companies that recognize the virtues of gossip can turn this often misunderstood behavior into a true ally,” Howell concludes. “By using it as a channel for information, cultural reinforcement, and diagnostic tool, it is possible to promote more empathy, transparency, and a high-performance culture.”
